Comovement Can Be Discerned by

question 3

Multiple Choice

Comovement can be discerned by

• A) calculating the percentage deviations from trend in real GDP.
• B) whether it is a procyclical or countercyclical variable.
• C) calculating the correlation coefficient between the percentage deviations from trend.
• D) determining if it is a lagging or leading indicator.
• E) looking at the composite index of business leading indicators.

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Definitions:

Just Noticeable Difference

The minimal change in stimulus intensity required to detect a difference between two stimuli, according to psychophysical research.

Visual Acuity

The sharpness or clarity of vision, often measured by the ability to discern letters or numbers at a given distance according to a standardized chart.

Absolute Threshold

The minimum level of stimulus intensity needed for a stimulus to be perceived or detected at least half the time by an observer.

Perceptual Invariance

The ability to perceive the unchanging properties of objects (shape, size, brightness, color) despite variations in the sensory input.